The Fair Wages and Healthy Families Act (Act) requires employers in Arizona to provide employees with earned paid sick time, and was effective July 1, 2017. Under the law:
- Virtually all Arizona employers are required to provide earned paid sick leave to their employees.
- Employers must provide new employees with a notice of the law’s requirements upon hire.
WHAT DOES THIS MEAN FOR YOUR BUSINESS?
Employers should review their leave and attendance policies and determine whether any changes must be made in order to comply with Arizona’s paid sick leave requirements. Also, employers should be prepared to provide the required employee notices and comply with the law’s record-keeping requirements, as clarified by the final rules.
Virtually all private employers in Arizona are covered by the earned paid sick time law. In general, all employees working for an Arizona employer are eligible for accrual and use of earned paid sick time. Employees must accrue at least one hour of earned paid sick time for every 30 hours worked, with employees who are considered exempt under FLSA being assumed to work 40 hours per week for the purposes of time accrual.
Under the law, earned paid sick time is to be provided upon an employee’s request. When the need for sick time is foreseeable, employees are expected to make a good faith effort to provide the employer with advance notice of the need for leave (including expected duration, if possible) and schedule the time off in a way that avoids disrupting the employer’s operations. If an employer requires notice of the need to use earned paid sick time when it is not foreseeable, it must establish a written policy that includes procedures for employees to provide the notice.
Employers must maintain records of earned paid sick time compliance for a period of four years. Failing to maintain these records will create a presumption that the employer did not pay earned paid sick time, unless the employer can prove otherwise. For complete documentation, an employer may require reasonable documentation to verify that earned paid sick time was used for a permitted reason only when an employee uses paid sick leave for three or more consecutive days.